Optimal transportation policy with strategic locational choice
This paper presents a model of strategic locational choice by duopolistic firms in an urban area where consumer locations are endogenous and where a public facility is exogenously fixed. A welfare analysis taking their strategic behaviour into account is conducted. It is shown that the firms' equilibrium locations often differ from the optimal locations which, in contrast to standard location theory, are not at the quartiles of the urban area. Corrective transportation taxes or subsidies can be used to support an optimal locational structure. Changes in transportation costs require unit-for-unit offsetting changes in transportation taxes or subsidies.
(This abstract was borrowed from another version of this item.)
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Kanemoto, Yoshitsugu, 1980. "Theories of urban externalities," MPRA Paper 24614, University Library of Munich, Germany.
- Fujita, Masahisa & Thisse, Jacques-Francois, 1986.
"Spatial Competition with a Land Market: Hotelling and Von Thunen Unified,"
Review of Economic Studies,
Wiley Blackwell, vol. 53(5), pages 819-41, October.
- FUJITA, Masahisa & THISSE, Jacques-François, . "Spatial competition with a land market: Hotelling and Von Thunen unified," CORE Discussion Papers RP -744, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- FUJITA, Masahisa & THISSE, Jacques-François, .
"Spatial duopoly and residential structure,"
CORE Discussion Papers RP
-942, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Thisse, Jacques-Francois, 1993.
"Oligopoly and the polarization of space,"
European Economic Review,
Elsevier, vol. 37(2-3), pages 299-307, April.
- THISSE, Jacques & WILDASIN, David, 1990.
"Public facility location and urban spatial structure. Equilibrium and welfare analysis,"
CORE Discussion Papers
1990025, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Thisse, Jacques-Francois & Wildasin, David E., 1992. "Public facility location and urban spatial structure : Equilibrium and welfare analysis," Journal of Public Economics, Elsevier, vol. 48(1), pages 83-118, June.
- repec:cup:cbooks:9780521346627 is not listed on IDEAS
When requesting a correction, please mention this item's handle: RePEc:eee:regeco:v:25:y:1995:i:4:p:395-410. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)
If references are entirely missing, you can add them using this form.